Infinity Trust Bank’s 9M 2026 pre-tax profit rises 27% to N2.76 billion

Infinity Trust Mortgage Bank Plc reported a pre-tax profit of N2.76 billion for the nine months ended September 30, 2026, representing a 26.94% increase from N2.18 billion recorded in the corresponding period of 2025, according to its unaudited financial statements.

Profit after tax also increased by 24.95% to N2.61 billion from N2.09 billion, despite higher interest expenses and operating costs during the reporting period.

The mortgage lender’s nine-month turnover increased by 41.51% to N6.49 billion from N4.58 billion, supported by stronger interest income from mortgage lending and treasury operations.

Key Highlights

• Turnover: N.49 billion (Up 41.51% YoY from N4.58 billion).
• Interest and similar income: N5.89 billion (Up 54.71% YoY from N3.80 billion).
• Net interest income: N3.70 billion (Up 43.55% YoY from N2.58 billion).
• Net fees and commission income: N159.29 million (Down 18.79% YoY from N196.16 million).
• Other operating income: N442.46 million (Down 24.22% YoY from N583.85 million).
• Total operating income: N4.30 billion (Up 28.12% YoY from N3.36 billion).
• Total operating expenses: N1.46 billion (Up 29.17% YoY from N1.13 billion).
• Earnings per share: 81.97 kobo (Up 24.82% YoY from 65.67 kobo).
• Total assets: N54.87 billion (Up 44.66% YoY from N37.93 billion).
• Loans and advances to customers: N36.69 billion (Up 46.48% YoY from N25.05 billion).
• Cash and cash equivalents: N10.72 billion (Up 60.42% YoY from N6.68 billion).

Driving the numbers

Infinity Trust Mortgage Bank’s nine-month earnings growth was largely driven by increased interest income, particularly from mortgage lending activities and treasury operations.

• Interest and similar income rose by 54.71% to N5.89 billion from N3.80 billion in the corresponding period of 2025, reflecting stronger income generation from the bank’s interest-earning assets.

A breakdown of interest income showed that other mortgage loans and advances to customers remained the largest contributor, generating N4.16 billion, compared with N2.57 billion in the previous year.

This accounted for 70.6% of total interest income, making it the bank’s principal earnings source during the reporting period.

Income from estate mortgages also increased to N565.51 million from N335.51 million, while treasury operations and placements generated N1.07 billion, compared with N787.60 million in 2025.

• However, income from National Housing Fund loans declined to N96.80 million from N109.53 million.

The improvement in lending income came alongside a significant expansion in the bank’s loan portfolio.

Net loans and advances to customers increased by 46.48% to N36.69 billion as of September 2026, compared with N25.05 billion in September 2025.

The growth in the loan book was accompanied by higher funding costs.

• Interest and similar expenses increased by 78.18% to N2.19 billion from N1.23 billion, outpacing the increase in interest income.
• The detailed notes attributed a substantial portion of funding costs to debt issued and other borrowed funds, which accounted for N1.53 billion of interest expenses, compared with N651.63 million in the corresponding period of 2025.
• Interest expenses on customer deposits also increased to N651.25 million from N574.67 million.

Despite the higher funding costs, net interest income increased by 43.55% to N3.70 billion from N2.58 billion, providing the main support for earnings growth.

Non-interest income, however, recorded weaker performance.

Net fees and commission income declined by 18.79% to N159.29 million, while other operating income dropped by 24.22% to N442.46 million.

• The decline in other operating income reflected lower investment income, which fell to N385.70 million from N504.72 million, alongside a reduction in rental income.

Operating expenses also increased during the period, rising by 29.17% to N1.46 billion from N1.13 billion.

Nevertheless, the expansion in net interest income was sufficient to absorb the higher costs, allowing pre-tax profit to increase by 26.94% to N2.76 billion.

Balance Sheet

The bank’s balance sheet also expanded significantly, with total assets rising by 44.66% to N54.87 billion from N37.93 billion in September 2025.

The asset growth was mainly driven by increased loans and advances to customers and higher balances due from banks.

• Loans and advances increased by N11.64 billion to N36.69 billion, while amounts due from banks rose by N3.98 billion to N10.54 billion.

On the funding side, debt issued and other borrowed funds increased by N12.57 billion to N26.87 billion, compared with N14.31 billion in September 2025.

• The bank’s borrowing structure included funding from the Nigeria Mortgage Refinance Company, the Development Bank of Nigeria, the Federal Mortgage Bank of Nigeria and the MRIEF on-lending fund.

This expansion in borrowed funds coincided with the increase in the bank’s loan portfolio, although it also contributed to higher interest expenses.

Despite stronger reported earnings, the bank recorded a net operating cash outflow of N5.80 billion, compared with an outflow of N4.47 billion in the corresponding nine-month period of 2025.

• The cash outflow was largely associated with increases in loans and advances, which absorbed N6.59 billion during the reporting period.

Overall, the bank recorded a net increase in cash and cash equivalents of N2.71 billion, down 12.34% from N3.09 billion in the corresponding period of 2025.

The results indicate that increased mortgage lending and treasury income supported profitability, although rising borrowing costs and negative operating cash flow remain important considerations in assessing the quality of earnings.

Market reaction

Infinity Trust Mortgage Bank’s shares closed at N11.25 per share on Monday, October 26, 2026, on the Nigerian Exchange.

The stock began the year at N7.00 per share and has since gained 60.71% year-to-date, equivalent to a price appreciation of N4.25 per share.

This performance places Infinity Trust Mortgage Bank 38th on the NGX in terms of year-to-date share-price performance, based on the supplied ranking.